The U.S. Department of Commerce reported that new home sales fell by 5.5% on a seasonally adjusted year-over-year basis to 553,000 units last month, the lowest level since December 2016.

The sales pace for August was revised down to 585,000 units from the previous reading of 629,000 units, and the sales figures for June and July were also revised downward, marking the fourth consecutive month of decline. The median price of a new home fell by 3.5% to $320,000 in September compared to the same period last year.

In addition, media reports indicated that new home sales in the United States fell to their lowest level in two years in September, marking yet another sign that rising mortgage rates and higher prices are undermining the housing market.